The Climate Council’s report, ‘Compound Costs: How Climate Change is Damaging Australia’s Economy’, finds there are few forces affecting the Australian economy that can match the scale, persistence and systemic risk associated with climate change.

Australia’s financial regulators have recently made a call for action to deal with climate change, with the Reserve Bank of Australia, the Australian Prudential Regulation Authority and the Australian Securities and Investment Commission citing risks posed by climate change as a central concern for the economy and financial stability.

As the Deputy Governor of the Reserve Bank of Australia noted, the risks that climate change poses to the Australian economy are “ first order” and have knock-on implications for macroeconomic policy (Debelle 2019).